29th Annual ROTH Conference - Columbus McKinnon · Europe, Middle East & Africa 24% Canada 5% Latin America & Asia Pacific 7% (1) FY13 –Q3 FY17 TTM amounts are presented using FY12

© 2015 Columbus McKinnon Corporation. All Rights Reserved. Confidential and Proprietary.© 2015 Columbus McKinnon Corporation. All Rights Reserved. Confidential and Proprietary.NASDAQ: CMCONASDAQ: CMCONASDAQ: CMCO

29th Annual ROTH ConferenceMarch 13, 2017

Mark D. MorelliPresident and Chief Executive Officer

Gregory P. RustowiczVice President – Finance & Chief Financial Officer

2

© 2017 Columbus McKinnon Corporation

This presentation contains “forward-looking statements” within the meaning of the Private Securities Litigation

Reform Act of 1995. Such statements include, but are not limited to, statements concerning future revenue and

earnings, involve known and unknown risks, uncertainties and other factors that could cause the actual results

of the Company to differ materially from the results expressed or implied by such statements, including the

ability to complete the STAHL acquisition or delays in its completion, increased exposure to markets and

geographies in which STAHL is more concentrated than the Company’s existing business, such as the oil and

gas industry and Europe, risks related to integration, such as disruptions in customer or vendor relationships or

lost business, risks related to employee relations or risks related to diligence, such as contingent liabilities of

STAHL that are unknown to the Company or turn out to be greater than the Company expects, risks related to

doing business outside the United States, including varying legal protections, rights and obligations, and risks

related to global legal compliance, risks related to increased debt expected to be incurred to partially finance the

STAHL acquisition, including the Company’s ability to service and repay such debt and the possibility that debt

service could reduce the Company’s ability to take advantage of opportunities that would benefit the Company’s

business, risks related to the Company’s ability to achieve synergies in the time frame and magnitudes that the

Company expects, the lack of audited financial statements relating to STAHL or pro forma financial information

prepared in accordance with SEC rules, and the possibility that the audit process could result in financial

information that investors consider adverse, which could affect the trading price of the Company’s common

stock, general economic and business conditions, conditions affecting the industries served by the Company

and its subsidiaries, conditions affecting the Company's customers and suppliers, competitor responses to the

Company's products and services, the overall market acceptance of such products and services, the effect of

operating leverage, the pace of bookings relative to shipments, the ability to expand into new markets and

geographic regions, the success in acquiring additional new business and other factors disclosed in the

Company's periodic reports filed with the Securities and Exchange Commission. The Company assumes no

obligation to update the forward-looking information contained in this presentation.

Safe Harbor Statement

3


Columbus McKinnon Corporation

SECURELIFT

Safely and Productively

Market Capitalization $597.5 million Annual Dividend $0.16

Recent Price $26.48 Dividend Yield 0.6%

52 Week High-Low $29.23 - $13.31 Institutional Ownership 94.4%

Shares Outstanding 22.6 million Insider Ownership 5.6%

Average Daily Volume (3 mos.)

137.1 thousand Employee Count (approx.) 2,800

Book Value per Share $14.44 Fiscal Year End March 31

Market data as of 3/3/17 (Source: Bloomberg); shares outstanding as of 3/2/17; book value per share and employee count as of

12/31/16 (excluding STAHL acquisition); Institutional and insider ownership as of most recent filing

Founded: 1875 IPO: 1996 NASDAQ: CMCO

4


Strong Balance Sheet

and Financial Flexibility

to Execute Plans

1/3 of sales in developing markets

and 2/3 in developed markets

Organic growth (trend line):

- U.S. & Western Europe at GDP+

- Emerging Markets at double digits

Acquisitions: $200 - $300 million

Continued introduction of new

products: 20% of sales

$1B in Revenue

Operating margin: 12% - 14%

Working capital/sales: 17%

Inventory turns: 6x

DSO: < 50 days

Profitable & Efficient

Long-Term Objectives

5


Customer Intimacy Model

Operational excellence

Customer Intimacy

Strong, highly recognized &

respected brands

Superior Customer experience

Broad product offering

6


Superior Customer Satisfaction

Acquisitions

Geographic Market Expansion

Global Product Development and Key Vertical Markets

Operational Excellence

Grow

Profitably

Strategic Initiatives

7


Acquisitions

Add $200 to $300 million in revenue

New technologies/expand product portfolio

Geographic markets

Key vertical markets

8


Recent Acquisition

(Closed on January 31, 2017)

9


Ideal Strategic Combination

Strong Value Proposition

Ideal complement to Columbus McKinnon’s global presence

Strong wire rope and electric chain hoist position in EMEA complements

Columbus McKinnon manual hoist leadership

Explosion-protected products (ATEX Certified) extend capabilities

and capacities

Excellent cultural alignment

• Similar go-to-market strategy

• Emphasis on high quality products and solutions

Strong engineering capabilities for custom hoists and cranes

Creates second largest global hoist Company and a leader in premium

quality lifting products and solutions to meet customer needs

Another Major Step Towards $1 Billion Revenue Goal

10


Strong Financial Performance

Consistent best-in-class profitability

September 30, 2016 TTM

financial results:

Revenue: ~$164 million (€155 million)

EBITDA: ~$31 million (€29 million)

EBITDA Margin: ~19%

Strong cash conversion rate

All manufacturing in Germany

73%

14%

11%2%

Hoists

Spares

Crane

Other

Revenue by Product

Explosion-protected chain hoist

11


EMEA, 71%

Americas, 16%

APAC, 13%

Established Global Presence

Superior product quality

Premium brand; strong reputation

Long-standing customer

relationships

Large installed base; strong spare

parts business

Explosion-protected hoist leader

Revenue by Geography

EPC, 57%

Crane Builders & Distributors,

43%

Revenue by Market Channel

Automotive 17%

General Manufacturing

17%

Steel & concrete

15%

Power generation

15%

Chemicals & Pharma

12%

Oil & gas24%

Revenue by Industry

12


Synergy-Driven Value Creation

Costs

Sourcing & logistics

Sales office consolidation

Product rationalization

Lean processes

Revenue

Leverage global sales force

Expand product offering

Smart technology

Intercompany Opportunities

Low cost country opportunities

Magnetek drives

Chain and forgings

Jib cranes and light rail

Cost Synergies: $5 million year one

$11 million year two

13


Pro forma TTM 12/31/16 sales

Pro forma TTM 12/31/16 EBITDA(1)

$609

166.0 $166

CMCO STAHL Pro forma

$775

$71

$31$11

$113

CMCO STAHL Synergies Pro forma

Note: Stahl financials converted from EUR to USD at rate of 1.0726 as of 1/31/17

(1) EBITDA is a non-GAAP financial measure. Please see supplemental slides for a reconciliation from GAAP financial measures to the non-GAAP financial measures provided above

(2) As a % of sales

($ in millions)

($ in millions)

15%(2)

Strengthens Margin Profile

14


Purchase Price€224 million ($240 million); €223 million ($239 million) with

adjustments

Transaction Costs Fiscal 2017: Approximately $10 million

Restructuring Costs Fiscal 2018: Approximately $6 million

Pension Liability$79 million unfunded plan

Annual contributions: $2 million - $3 million per year

Net Income

ExpectationsAccretive: Fiscal 2018 $0.34 EPS (pre-purchase accounting & charges)

Fiscal 2019 $0.51 EPS (pre-purchase accounting)

FinancingCommon equity: $50 million

Debt: $545 million first lien debt (incl. $100 mm revolver)

Funds purchase price and refinances existing debt

Transaction Close Closed on January 31, 2017

Transaction Overview

15


Expected rate of debt reduction

$45 million - $50 million in FY18

Ramping to $50 million - $55 million in FY19

Targeting 3x Net Debt/EBITDA by end of FY18

Covenant-lite

No leverage maintenance covenant

Pro Forma Capitalization12/31/2016

Reported

12/31/2016

Pro Forma

Cash and cash equivalents $ 51.5 $ 44.1

Existing $225 million revolving

credit facility due 2020131.5 -

Existing $125 million term loan

facility due 2020 103.1-

New 5-year $100 million revolving

credit facility- -

New 7-year $445 million Term

loan B-1st lien; LIBOR + 3.00%- 445.0

Total debt2 234.6 445.0

Total net debt2 183.1 400.9

Shareholders’ equity 292.3 339.5

Total capitalization2 $ 526.9 $ 784.5

Debt/total capitalization 44.5% 56.7%

Net debt/net total capitalization 38.4% 54.1%

Net Debt/adjusted EBITDA3 2.6x 3.6x

Sources & Uses

Sources: Amount Uses: Amount

New $100mm R/C Facility $ 0.0 Purchase Price1 $ 239.0

New Term loan B-1st lien;

LIBOR + 3.00%445.0

Refinance Existing

Debt234.6

Cash equity proceeds 47.2Est. Financing

Expenses16.0

Existing cash 7.4 Est. Transaction Costs 10.0

Total Sources $ 499.6 Total Uses $ 499.6

1 EUR/USD 1.0726 as of 1/31/2017. Purchase price is net of cash and debt.2 Excludes $0.7 million of capital leases and unamortized debt issuance costs3 Debt to Adjusted EBITDA is a non-GAAP financial measure. Please see supplemental slides for a reconciliation of GAAP net income to adjusted EBITDA

Financing

16


Recent Acquisition

(Acquired September 2, 2015)

17


CMCO + Magnetek Leader in Intelligent Lifting

Acquired America’s largest

supplier of digital power and

motion control systems for

industrial cranes and hoists

Strengthened value proposition

Industry leading power electronics technology with industry leading

hoisting and rigging technology

• “Smart hoists” with diagnostics — a drive on every hoist

Improves operational and energy efficiency, production through-put

and safety

• Products incorporate monitoring features to minimize downtime

Larger addressable market

• Global opportunities for Magnetek products

• Bringing smart power solutions to vertical markets

Leading global hoist

manufacturer

18


Technology Driven Solutions

BLACK MAX® & BLUE MAX®

Inverter-duty motors

ELECTROMOTIVE®

Festoon electrification systems

LASERGUARD®/ReFLX ®

Distance-detection & collision avoidance

sensors

ELECTROBAR®

Conductor bar electrification

products

SBN/SBP2 Pendants

ENRANGE/TELEMOTIVE®

Radio remote crane

and hoist controls

IMPULSE® &

OMNIPULSE™

Digital drive subsystems

SCS®

Load swing-control

hardware and software

MONDEL®

Brake-by-wire braking subsystems

Columbus McKinnon

Wire Rope Hoist

Columbus McKinnon

Below Hook Rigging

Equipment

Columbus McKinnon

End Trucks

19


Other Strategic Initiatives

20


Geographic Expansion

APAC Latin America EMEA

From strength

in China

From strength in

Mexico and Brazil

From strength in

Europe and S. Africa

Leverage Existing Footprint

21


($ in millions)

Non U.S. Sales(1)Q3 FY2017 TTM

Reported

International Market Penetration

$268.7

$253.3 $251.9 $244.0 $223.3 $216.8

$13.8 $13.2 $26.1 $55.4 $59.5

FY12 FY13 FY14 FY15 FY16 Q3 FY17TTM

As Reported FX Adjustment

U.S.64%

Europe, Middle East &

Africa24%

Canada5%

Latin America & Asia Pacific

7%

(1) FY13 – Q3 FY17 TTM amounts are presented using FY12 FX rates

$267.1 $265.1 $270.1 $278.7 $276.3

U.S.58%

Europe, Middle East &

Africa34%

Other8%

Pro Forma with STAHL

22


Product Development

Market

Needs

Market

Feedback

Product

Planning

Product

Development

Recent Successes:

Yale LodeKing LTTM

Wire Rope Hoist

Strategic Product

Management

Voice of

Customer &

Watch the Work

Knowledge Based

Engineering

Metrics

Market

Performance

Metrics

Speed to Market

Yale ERGO360

Ratchet Lever Hoist

Crank lever allows for 360◦ rotation

30% less force required

12x faster lifting speed

Better operator posture & safety

Ultra-low headroom

Safety and performance features

of Magnetek IMPULSE®

Series 4 Drive

23


Key Vertical Markets

24


Objectives FY16 Actual World Class

Customer Satisfaction - Total 4.2 2.5

Internal Defect Rate 0.83% 0.75%

Inventory Turns 3.6 6.0

On-time Deliveries 92.6% 98.0%

Warranty Costs 0.48% 0.35% - 0.30%

Productivity 32% +10% - +15%

Safety RW/LT 1.89 0.50

CM Lean Business System Drives

Continuous Improvement

Operational Excellence

25


Du

ff N

ort

on

, C

ME

P,

CM

IP,

UK

, N

eth

erl

an

ds

, D

ub

ai,

Bra

zil

, F

ran

ce

,

Sw

itze

rla

nd

N.A. Hoist

& Rigging

Global Master Data Governance & Clean Up

FY 2017 FY 2018 FY 2019

50% Global

Revenue

Complete:

17%

Global

Revenue

Magnetek/Stahl

84% Global

Revenue

Global ERP System

Mexico,

Unified, CES,

STB

FY 2020

Note: All periods include STAHL revenue projection of $166 million

26


Business Overview

27


Net Sales: Q3 FY2017 TTM

U.S. market leader in hoists and controls

Leader in explosion-protected hoists with STAHL

Leader in drives and controls with Magnetek

Broad Product Offering

Hoists47%

Spare Parts6%

Rigging & Lifting Tools

12%

Cranes5%

Acutators11%

Other2%

Drives/Controls

17%

Hoists54%

Spare Parts8%

Rigging & Lifting Tools

9%

Cranes6%

Actuators8%

Other2%

Drives/Controls

13%

Reported Pro Forma with STAHL

28


From Lifting Products to Solutions

Powered Chain

Hoists

Powered Wire Rope

Hoists ATEX Explosion Protected Hoists

29


Q3 FY2017 TTM Net Sales: $ 608.5 million

Extensive Distribution Channels15,000+ distributors

& end-user customers

Extensive Market Channels

US General Line Distributors

36%

International General Line Distributors

29%

Specialty Distributors

13%

Pfaff International Direct

6%

Crane End Users3%

OEM/Government13%

Market Channels Launched digital platform

CompassTM in Q2 FY2017

Online end-user platform, available 24/7

Crane builders design system to specific needs

• Rapid quote

• Drawings and specs

• Direct order

Eliminates hours of engineering for channel partners and end users

30


$572.8

$604.9 $596.5$605.7

$652.5

$668.0

$500

$550

$600

$650

$700

FY12 FY13 FY14 FY15 FY16 Q3 FY17TTM

Revenue Growth at Constant Currency

($ in millions)Net Sales Excluding FX Impact(1)

(1) FY13 – Q3 FY17 TTM amounts are presented using FY12 FX rates. Please see supplemental slides for a reconciliation

from Net Sales as reported to adjusted figures as presented above

31


Financial Overview

32


$174.2$181.0

$181.6 $187.3 $191.0

FY13 FY14 FY15 FY16 Q3 FY17TTM

Adjusted Gross Profit

& Margin(1)

Gross Margin Expansion

Adjusted Income from

Operations & Margin(1)

$54.4

$54.4 $54.6 $40.6 $40.9


(1) Adjusted gross profit & margin for FY15, FY16 and Q3 FY17 TTM and adjusted income from operations & margin for FY14, FY15, FY16 and Q3 FY17 TTM as

shown are adjusted to exclude unusual items and are non-GAAP financial measures. Please see supplemental slides for a reconciliation from GAAP financial

measures to the non-GAAP financial measures provided above

(2) Non-GAAP as a % of sales

31.6%(2)29.2% 31.0% 31.6%(2) 32.0%(2) 7.6% 9.6%(2) 9.8%(2) 9.0%(2) 7.7%(2)

$1.7 $3.9

$192.5$191.2

$5.8

$2.4$13.0

$57.0$53.6

$46.7

AdjustmentsGross Profit Income from Operations Adjustments

(non-GAAP)(non-GAAP)

$183.3 $1.5

$56.0$1.6

($ in millions)

33


$48.0

$22.6

$(9.3)

$9.8

$27.5

$8.7

$21.0

$30.3

FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16

(1) Operating free cash flow is defined as cash provided by operating activities minus capital expenditures

(2) Fiscal 2010 and fiscal 2011 include $10.8 million and $4.5 million of cash paymentsrelated to restructuring charges, respectively

(3) Guidance provided on October 28, 2016

Note: Operating free cash flow is a non-GAAP measure. See supplemental slides for operating

free cash flow reconciliation and other important disclaimers regarding operating free cash flow

Note: Cumulative operating free cash flow uses FY 2009 as a starting point

Note: Figures for individual years may not add up to cumulative totals due to rounding

($ in millions)

Operating Free Cash Flow (1)

(2)(2)

Strong Cash Generation

Cumulative Operating Free Cash Flow (1)

$48.0 $70.6

$61.3 $71.1

$98.6 $107.3 $128.3

$158.7

FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16

FY16 Op. FCF: $30.3 million

Expecting higher FCF in FY17

Full year of Magnetek

Lower CapEx in FY17:

~$6.5 million

Magnetek NOLs:

cash taxes down ~$3 million

YTD Op. FCF of $37.2 million

34


$14.9

$20.8

$17.2

$22.3

$11.3

FY13 FY14 FY15 FY16 FY17E

Low CapEx Requirements

Capital allocation priorities:

De-lever balance sheet

Strategic growth

Dividends

Base capital expenditure

~$13 million to $15 million

Investments in productivity

and capacity

Invested $20 million in SAP

since FY11

Invested $6.4 million for China

plant expansion (FY14 – FY15)

Expect $3 million to $4 million in

SAP CapEx for FY18

(1)

CapEx

(1) Guidance provided on January 26, 2017

$16.0

FY17 Q3

YTD

($ in millions)

35


18.3%

21.7%20.8% 21.5%

19.9%


50.552.9

49.2 49.2

44.7


Working Capital as a Percent of Sales

Days Sales Outstanding

(1) Figure excludes the impact of the acquisition of Magnetek

Focused on Improving Inventory Turns

Days Payable Outstanding

31.1 29.2 29.4 30.8

23.8


Inventory Turns

4.3x 4.5x4.0x

3.6x 3.9x


(1)

36


$39.2

$153.2

$118.4

$72.2

$26.0 $(120.1)

$(228.6)

$(8.8) $51.5

Cash 3/31/09 Net Income D&A Borrowings Netof Payments &

Financing Costs

Working CapitalChange & Other,

Net

CapitalExpenditures

Acquisitions Dividends Cash 12/31/16

Investing for Growth

($ in millions)

Sources of Cash Uses of Cash

Generating Cash Investing for Growth

37


13.1% 12.4%11.0%

8.2%6.6%


1.2x 1.3x

1.1x1.0x

0.8x


ROIC/WACC

(1) ROIC is defined as income from operations, net of 34% tax rate, for the trailing 12 months divided

by the average of debt plus equity less cash (average capital) for the trailing 13 months.

(2) Average capital within the ROIC calculation for FY 2012 and FY 2013 removes the effect of the

deferred tax asset valuation allowance, which was reversed in FY 2013.

(3) FY14 ROIC excludes $1.7 million of atypical M & A fees

(4) FY15 ROIC excludes $1.7 million of facility consolidation costs and $0.7 million of purchase

accounting adjustments

(5) FY16 ROIC of 8.2% is adjusted to exclude $5.7 million of acquisition deal costs, $2.3 million of

acquisition related severance, $2.0 million of purchase accounting adjustments, $1.4 million of

facility consolidation costs, $1.1 million product liability settlement costs and $0.4 million of

building impairment costs.

(6) Q3 FY17 TTM ROIC of 6.6% is adjusted to exclude $0.9 million of facility consolidation costs,

$1.1 million product liability settlement costs, $0.4 million of building impairment costs, $0.2 million

of lump sum pension costs and $3.1 million of acquisition deal costs.

(7) Source: Bloomberg

(2)

Return on Invested Capital (ROIC)(1)

11.1%9.9% 10.1%

8.2% 8.5%

FY13 FY14 FY15 FY16 12/31/2016

WACC(7)

ROIC Expected to Improve

(5)(3) (4) (6)

38


$152.3 $126.7

$267.6$234.1

$445.0

FY14 FY15 FY16 12/31/2016 Pro formaW/STAHL

$13.5 $12.4

$7.9 $10.1

Flexible Capital Structure

($ in millions)

Cash and Cash Equivalents Total Debt

Interest Expense

$112.3

$63.1$51.6 $51.5 $44.1

FY14 FY15 FY16 12/31/2016 Pro formaw/STAHL

$291.3$268.7

$286.3 $292.3

$339.5


34.3% 32.0%

48.3%44.5%

56.7%


Shareholders’ Equity Debt/Total Capitalization

(1) Reflects impact of foreign currency translation adjustment ($29.9 million) and change in pension liability and OPEB net of tax ($20.2 million)

(2) 12/31/2016 interest expense of $10.1 million is for the trailing twelve month period ended 12/31/2016

(1)

(2)

39


Key Takeaways

Leading US market share, strong brands, key vertical markets

Magnetek and STAHL strengthen value proposition

Broad products offering focused on safety and productivity

Extensive market channels & growing global presence

Improving margins & strong cash flow

40


Material Handling - Safely and Productively

© 2015 Columbus McKinnon Corporation. All Rights Reserved. Confidential and Proprietary.© 2015 Columbus McKinnon Corporation. All Rights Reserved. Confidential and Proprietary.NASDAQ: CMCONASDAQ: CMCO

Supplemental

Information

42


$ in millions FY2012 FY2013 FY2014 FY2015 FY2016Q3 FY17

TTM

Sales $ 591.9 $ 597.3 $ 583.3 $ 579.6 $ 597.1 $ 608.5

Less sales from divested business (19.1) (6.2) - - - -

Constant currency adjustment (using FY12

FX rates) - 13.8 13.2 26.1 55.4 59.5

Constant currency sales (using FY12 FX

rates) $ 572.8 $ 604.9 $ 596.5 $ 605.7 $ 652.5 $ 668.0

Non-GAAP Reconciliations

$ in millions FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016

Cash provided by operating

activities$ 60.2 $ 29.9 $ 3.3 $ 23.6 $ 42.4 $ 29.5 $ 38.3 $ 52.6

Minus capital expenditures 12.2 7.2 12.5 13.8 14.9 20.8 17.2 22.3

Operating free cash flow $ 48.0 $ 22.6 $ (9.3) $ 9.8 $ 27.5 $ 8.7 $ 21.0 $ 30.3

Constant Currency Sales Reconciliation

Operating Free Cash Flow Reconciliation

Operating free cash flow is defined as cash provided by operating activities minus capital expenditures

Columbus McKinnon believes that when used in conjunction with GAAP measures, operating free cash flow, which is a non-GAAP

measure, assists in the understanding of Columbus McKinnon’s operating performance.

NOTE: Components may not add up to totals due to rounding

43


$ in thousands FY2013 FY2014 FY2015 FY2016Q3 FY17

TTM

Gross Profit $ 174,231 $ 181,048 $ 181,607 $ 187,263 $ 190,990

Add back:

European facility consolidation costs and

reduction-in-force - - 1,176 346 -

Acquisition inventory step-up expense - - 543 1,446 -

Acquisition amortization of backlog - - - 581 -

Product liability costs for legal settlement - - - 1,100 1,100

Building held for sale impairment charge - - - 429 429

Non-GAAP adjusted gross profit $ 174,231 $ 181,048 $ 183,326 $ 191,165 $ 192,519

Sales $ 597,263 $ 583,290 $ 579,643 $ 597,103 $ 608,523

Add back:


Non-GAAP sales $ 597,263 $ 583,290 $ 579,643 $ 597,684 $ 608,523

Adjusted gross margin 29.2% 31.0% 31.6% 32.0% 31.6%

Adjusted gross profit is defined as gross profit as reported, adjusted for unusual items. Adjusted gross profit is not a measure determined in accordance with generally accepted

accounting principles in the United States, commonly known as GAAP, and may not be comparable to the measure as used by other companies. Nevertheless, Columbus McKinnon

believes that providing non-GAAP information such as adjusted gross profit is important for investors and other readers of the Company’s financial statements, and assists in

understanding the comparison of the current quarter’s gross profit to the historical period’s gross profit.

Adjusted Gross Margin Reconciliation

44


$ in thousandsFY2013 FY2014 FY2015 FY2016

Q3 FY17

TTM

Income from operations $ 54,371 $ 54,350 $ 54,648 $ 40,570 $ 40,946

Add back:

Acquisition deal costs - 1,657 - 5,746 3,140

European facility consolidation costs - - 1,726 585 -

Acquisition related severance costs - - - 2,300 -

Acquisition inventory step-up expense & real estate transfer

taxes - - 659 1,446 -


Product liability costs for legal settlement - - - 1,100 1,100

Building held for sale impairment charge - - - 429 429

North American facility consolidation costs - - - 859 859

Canadian pension lump sum settlements - - - - 247

Non-GAAP adjusted income from operations $ 54,371 $ 56,007 $ 57,033 $ 53,616 $ 46,721

Sales $ 597,263 $ 583,290 $ 579,643 $ 597,103 $ 608,523


Non-GAAP sales $ 597,263 $ 583,290 $ 579,643 $ 597,684 $ 608,523

Adjusted operating margin 9.1% 9.6% 9.8% 9.0% 7.7%

Adjusted operating income is defined as operating income as reported, adjusted for unusual items. Adjusted operating income is not a measure determined in accordance with

generally accepted accounting principles in the United States, commonly known as GAAP, and may not be comparable to the measure as used by other companies. Nevertheless,

Columbus McKinnon believes that providing non-GAAP information such as adjusted operating income is important for investors and other readers of the Company’s financial

statements, and assists in understanding the comparison of the current quarter’s operating income to the historical period’s operating income.

Adjusted Operating Margin Reconciliation

45


Pro Forma Combined EBITDA Reconciliation

$ in thousands12/31/16 TTM

CMCO Net income: $ 19,611

Add back:

Interest expense 10,089

Investment income (494)

Foreign currency exchange gain/loss 1,355

Other income, net (313)

Income tax expense 10,698

Depreciation & amortization 24,354

Canadian pension lump sum settlements 247

Product liability costs for legal settlement 1,100

Building held for sale impairment charge 429

North America facility consolidation & reduction in force costs 859

Acquisition deal costs 3,140

CMCO Adjusted EBITDA $ 71,075

Synergies 10,700

STAHL1 EBITDA 31,000

Pro forma combined Adjusted EBITDA $ 112,775

1Stahl financials converted from EUR to USD at rate of 1.072 Excludes $0.8 million of capital leases and unamortized debt issuance costs

CMCO sales: $609M

STAHL sales: $166M

Pro forma sales: $775M

Pro forma EBITDA margin: 15%

Pro forma Net Debt2: $400.9M

Pro forma Net Debt/EBITDA 3.6X

46


77%

78%

79%

80%

81%

82%

83%

74%

75%

76%

77%

78%

79%

80%

All Manufacturing Total

Source: The Federal Reserve Board

Eurozone Capacity UtilizationU.S. Capacity Utilization

Source: European Commission

82.3% in

Q3 FY2017

75.3% (Manufacturing) &

75.5% (Total) in December 2016

Industrial Capacity Utilization

47


Established Global Presence

29th Annual ROTH Conference - Columbus McKinnon · Europe, Middle East & Africa 24% Canada 5% Latin America & Asia Pacific 7% (1) FY13 –Q3 FY17 TTM amounts are presented using FY12

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